Strait of Malacca: Why it’s India’s one of most Important Weapon
Location and Historical Importance
Strait of Malacca, Unarguably the most important and one of the most congested trade route in the present circumstances is a shallow and narrow waterway connecting the Andaman Sea (Indian Ocean) and the South China Sea (Pacific Ocean). It runs between the Indonesian island of Sumatra to the west and peninsular Malaysia and extreme southern Thailand to the east and has an area of about 25,000 square miles.
Historically, it was developed and controlled by empire of Srivijaya from 7th century. It is named after the Malacca Sultanate that ruled over the archipelago between 1400 and 1511, the center of administration of which was located in the modern-day state of Malacca, Malaysia. In early times, it helped to determine the direction of major Asian migrations of peoples through the Malay Archipelago.
How much trade transits the South China Sea? How closure of Malacca Strait can disrupt trade through South China sea ?
The United Nations Conference on Trade and Development (UNCTAD) estimates that roughly 80 percent of global trade by volume and 70 percent by value is transported by sea. Of that volume, 60 percent of maritime trade passes through Asia, with the South China Sea carrying an estimated one-third of global shipping. Its waters are particularly critical for China, Taiwan, Japan, and South Korea, all of which rely on the Strait of Malacca. As the second-largest economy in the world with over 60 percent of its trade in value traveling by sea, China’s economic security is closely tied to the South China Sea.
Reports of UNCTAD says that global trade through South China Sea estimates up to $3.4 Trillion in 2016 with China accounting for $1470 Billion alone and estimates say that it can go upto $5.3 Trillion soon. Reports say around 75,000 ships pass through the Strait
China: 21.9%,South Korea: 6.28%, Singapore: 5.97%,Rest of World: 31.58%. The opening of the Suez Canal in 1869 only increased its significance as the strait became a key link between the Pacific and Indian Ocean, reducing the distance between Europe and the Far East by 33%.
Of the 87 million barrels of oil produced per day in 2011, approximately 15.2 million passed through the Strait of Malacca.
A hypothetical long-term closure may have a similar effect as the 2011 Thailand floods, which inflicted up to $32 billion in damages to Thailand’s manufacturing base. Energy or commodity disruptions could have even more far-ranging economic consequences for the global marketplace. This is especially true for China — the world’s top crude oil importer. In 2016, almost 80 percent of China’s oil imports passed through the South China Sea via the Strait of Malacca. For an oil-hungry country like China, a long-term closure would present a worrisome economic and political scenario. According to an estimate, China’s shipping costs could increase by more than $64 million if the Strait of Malacca is closed for even a week, another estimate says alternative routes could cost Beijing anywhere between $84 to 220 billion a year.
China’s Malacca dilemma: How India controls Indian Ocean chokepoints
India has naval capabilities near the Indian Ocean choke points especially around the Malacca Strait. India had threatened a naval blockade of Pakistan previously during the 1971 war. In June, reports hinted at chances of the United States moving its carrier USS Theodore Roosevelt into the Malacca Straits area in a show of support for India. In the same month, the Global Times was singing praises about China responding by carrying out Naval drills in the South China Sea as Beijing knows Malacca dilemma. China’s disadvantage in high seas becomes all the more grave in the South China Sea where China is fighting six countries. Eighty percent of China’s oil imports come through the Malacca Strait.
India has been strengthening its maritime cooperation with the Quad countries. In October, New Delhi and Washington signed an agreement to expand military satellite information sharing. India is also planning to strengthen its maritime infrastructure. A deepwater port is being built on the great Nicobar island for $1.3 billion.
Militarization of Indian Ocean: India’s Response to rising China’s presence in South China Sea
World at large wonders as to what makes India so powerful as the center of Indo-Pacific and why is it being called as the only alternative to China. The Andaman and Nicobar Islands are located at the juncture of the Bay of Bengal and the Andaman Sea. It is a group of 572 islands, which straddles some of the busiest trade routes in the world. Geopolitically, the ANI connects South Asia with South-East Asia. While the northernmost point of the archipelago is only 22 nautical miles from Myanmar, the southernmost point, Indira Point, is a mere 90 nautical miles from Indonesia.The Andaman and Nicobar Islands constitute just 0.2% of India’s landmass but provide near 30% of its Exclusive Economic Zone.
Currently India has 7 Airforce and Navy bases in ANI but the archipelago has more to offer, 572 island stretching over an area of 450 nautical miles and a total of 24 ports that are currently operative, if used correctly, the ANI hold the ability to bring India right at the centre of Indo-Pacific that can attract big bulls like Australia, US, Japan to India and also India’s neighbours as well as extended neighbours such as thailand, Myanmar, Indonesia, Taiwan. In 2019, India announced the formation of it’s only theater Command, “the ANI command” with a budget outlay of $777 Million. India aims to station additional warships, aircraft, Infantry soldiers, Missile batteries and drones in this archipelago under a 10 year infrastructure roll-on plan. India is considering investing $1.34 Billion for building a transshipment port at Great Nicobar Island in the Bay of Bengal to provide shippers an alternative to similar ports in the region and make India a hub of Indo-Pacific region because of competitive distances deep natural ports. These ports will also serve for refill and repair of major warships of Quad comprising of India, US, Japan and Australia. India’s power projection in the undermine would draw the ASEAN members towards India as it would led to believe that they have a powerful, democratic and reliable regional ally to bank upon and this is rattling Asian giant China.
How China is preparing to tackle it’s Indian Ocean problem’s?
The fact India enjoys a strategic advantage over China because of the Malacca Strait has forced Beijing to explore other options and find ways around the waterway. One such option is Gwadar Port in Pakistan. As part of the China Pakistan Economic Corridor (CPEC), Beijing has developed the port in Gwadar so that goods unloaded there will be shipped overland to China. The other option Beijing is exploring is Northern Sea Route in the Arctic which could create a ‘Polar Silk Road.’ The importance of this is underlined by China’s 2018 Arctic policy. It asserts, “Geographically, China is a “Near-Arctic State”, one of the continental States that are closest to the Arctic Circle.”
China is increasing its import from Russia and Kazakhstan. The other alternatives to the Straits of Malacca and Singapore are the Lombok and Makassar Straits. The Lombok Strait is wider and deeper than the Straits of Malacca and Singapore. A gas pipeline was already opened in 2013 while construction of its sister oil pipeline between the Port of Sitwe in Burmese waters and Kunming in China’s Yunnan province was completed in 2015.
Conclusion: The Indo-Pacific is increasingly becoming a center for a growing geopolitical contest, with China already making several moves from strategic military bases to predatory economics to advance its own interests in the region. India has begun stepping up and successfully engaging countries in the region to a degree of success. However, without the necessary investments in its hard-power capabilities, India’s vision of a “safe, free, and open Indo-Pacific” will remain unfulfilled. India must take necessary steps to increase investments in its navy as it looks to counter growing Chinese influence in the IOR.
